11/11/08 Potato acreage forecast

It was almost a norm in the industry. Potato prices fell with overproduction year after year but with the United Potato Growers of Idaho campaign spreading nationwide prices improved. Acreage was down this year by eight percent, partly to help balance supply and demand. USDA economist Rachael Dettman says that's part of the reason. DETTMAN "The competition of substitute crops such as corn and wheat so that when potato farmers were making decisions on what they were going to plant a lot of them switched over particularly to wheat production." Potato prices have skyrocketed from $5.92 per hundredweight in September of 2007 to $11.33 this past August. With this year's acreage decline and what appears to be an increase in demand farmers are considering growing more spuds next year. DETTMAN "Not substantial increases but slight increases because after all they do want to maintain the healthy prices they have been receiving and if our export demand continues to grow there will be even more incentive to produce more potatoes especially processed potato products." Wheat and corn prices have deflated in recent months and no one is really sure where the commodity markets will be next spring at planting time. Today's Idaho Ag News Bill Scott